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Libya Economic Monitor, Summer 2022

(Washington, DC, 2022-08) World Bank

Libya is struggling to cope with a trifecta of crises, including the civil conflict, the Coronavirus (COVID-19) pandemic and most recently, the impact of the Russia-Ukraine crisis. Notwithstanding the tempering of conflict intensity since 2021, the Libyan economy has been battered by the conflict. GDP per capita estimates in 2021 stood at about half of its value in 2010 before the start of the conflict. Since 2020, the population has been hit by multiple waves of the COVID-19 pandemic. The health system, already affected by a decade of conflict, has struggled to deliver the necessary access and quality of care amid a raging pandemic. While Libya has reported a marked decline in COVID-19 cases and deaths since March 2022, the vaccination rate remains low. In addition, food insecurity has worsened, precipitated by the Russia-Ukraine crisis and the resulting shortages and price increases for staple foods in the domestic market.
Ebb and Flow, Volume 2: Water in the Shadow of Conflict in the Middle East and North Africa

(Washington, DC: World Bank, 2021-08-23) Borgomeo, Edoardo ; Jägerskog, Anders ; Zaveri, Esha ; Russ, Jason ; Khan, Amjad ; Damania, Richard

The Middle East and North Africa Region encapsulates many of the issues surrounding water and human mobility. It is the most water-scarce region in the world and is experiencing unprecedented levels of forced displacement. Ebb and Flow: Volume 2. Water in the Shadow of Conflict in the Middle East and North Africa examines the links between water risks (harmful outcomes related to water, from droughts and floods to lack of sanitation), conflict, and forced displacement. It aims to better explain how to address the vulnerabilities of forcibly displaced persons and their host communities, and to identify water policy and investment responses. Contrary to common belief, the report finds that the evidence linking water risks with conflict and forced displacement in the region is not unequivocal. Water risks are more frequently related to cooperation than to conflict at both domestic and international levels. But while conflict is not necessarily a consequence of water risks, the reverse is a real and concerning phenomenon: conflict amplifies water risks. Since 2011, there have been at least 180 instances of intentional targeting of water infrastructure in conflicts in Gaza, Libya, the Syrian Arab Republic, and the Republic of Yemen. Forcibly displaced persons and their host communities face myriad water risks. Access to safe drinking water is a daily struggle for millions of forcibly displaced Iraqis, Libyans, Palestinians, Syrians, Yemenis, and international migrants in the region, heightening public health risks. Tanker trucks often help fill the gap; however, significant issues of water quality, reliability, and affordability remain. Host communities also face localized declines in water availability and quality as well as unplanned burdens on water services following the arrival of forcibly displaced persons. The reality of protracted forced displacement requires a shift from humanitarian support toward a development approach for water security, including structured yet flexible planning to deliver water services and sustain water resources for forcibly displaced persons and their host communities.
Remarks at the World Health Organization Media Briefing on COVID-19 and Vaccine Equity

(World Bank, Washington, DC, 2021-06-01) Malpass, David

World Bank Group President David Malpass stated that the immediate priority is for countries that have sufficient supply to quickly release doses to countries that have vaccination deployment programs. He said that by the end of June, the World Bank will have approved vaccination operations in over 50 countries. It is vital to speed up the supply chain. The World Bank is providing transparent access to very detailed information about projects through an online portal available at https://www.worldbank.org/vaccines. He urged other development partners to publish detailed information about their vaccine financing and deployment programs and their delivery schedules. The World Bank is also working to expand supply and will be making announcements of investments by IFC, the World Bank Group’s private sector development arm.
Remarks at the Human Capital Conclave

(World Bank, Washington, DC, 2021-04-05) Malpass, David

David Malpass, President of the World Bank, discussed the importance of investing in human capital for a green, resilient, and inclusive recovery from the Coronavirus disease crisis. He highlighted three important measures: 1) investing in people; 2) efficient expenditures and good governance; and 3) freeing up fiscal space.
Remarks to the World Food Programme Executive Board

(World Bank, Washington, DC, 2020-11-16) Malpass, David

World Bank Group President David Malpass spoke about how in its first year, the Coronavirus (COVID-19) pandemic is pushing one hundred fifty million people into extreme poverty, ending two decades of steady progress on poverty reduction. Coronavirus (COVID-19) has altered every aspect of commercial activity and trade, shrinking gross domestic products (GDP), fueling a debt crisis and triggering severe food crises. He cautioned about the long-standing problems in the global food system, and how World Food Programme (WFP) and Food and Agriculture Organization (FAO) has estimated that the number of people facing acute food insecurity will double to two hundred sixty-five million people in 2020. He spoke about working along with IMF on effective approaches for debt reduction and debt resolution to address low income countries’ unsustainable debt burdens. He highlighted on establishing a fast-track Coronavirus (COVID) response that has delivered emergency support to one hundred twelve countries so far. He explained that in response to the global food security crisis, the World Bank Group has significantly stepped up investments to strengthen food security in client countries.
Remarks to the Annual Meetings 2020 Development Committee

(World Bank, Washington, DC, 2020-10-16) Malpass, David

David Malpass, President of the World Bank Group, announced that the Board approved a fast track approach to emergency health support programs that now covers 111 countries. Most projects are well advanced, with average disbursement upward of 40 percent. The goal is to take broad, fast action early. The operational framework presented back in June has positioned the Bank to help countries address immediate health threats and social and economic impacts and maintain our focus on long-term development. The Bank is making good progress toward the 15-month target of 160 billion dollars in surge financing. Much of it is for the poorest countries and will take the form of grants or low-rate, long-maturity loans. IFC, through the Global Health Platform, will be providing financing to vaccine manufacturers to foster expanded production of COVID-19 vaccines in both part 1 and 2 countries, providing production is reserved for emerging markets. The Development Committee holds a unique place in the international architecture. It is the only global forum in which the Governments of developed countries and the Governments of developing countries, creditor countries and borrower countries, come together to discuss development and the ‘net transfer of resources to developing countries.’ The current International Financial Architecture system is skewed in favor of the rich and creditor countries. It is important that all voices are heard, so Malpass urged the Ministers of developing countries to use their voice and speak their minds today. Malpass urged consideration of how we can build a new approach to debt restructuring that allows for a fair relationship and balance between creditors and debtors. This will be critical in restoring growth in developing countries; and helping reverse the inequality.
Remarks at the UNGA High Level Side Event on Accelerating the End of the COVID-19 Pandemic

(World Bank, Washington, DC, 2020-09-30) Malpass, David

David Malpass, President of the World Bank Group, remarked that the World Bank Group is determined to take action to help people in developing countries gain access to safe vaccines and distribution systems. Economies, families, and livelihoods cannot recover fully until all people are able to work, socialize, travel, and live their lives with hope and confidence. Broad, rapid, and affordable access to COVID vaccines will be at the core of a resilient economic recovery that lifts everyone. The COVID-19 pandemic has caused the steepest economic contraction in 90 years. The Bank estimates that the pandemic could push over 150 million people into extreme poverty by 2021. The negative impact on human capital will be deep and may last decades. During the pandemic, over a billion children have been out of school and 80 million children are missing out on basic childhood vaccinations. This additional financing will be to low- and middle-income developing countries that don’t have adequate access and helping them alter the course of the pandemic for their people. This vaccine financing is additional to the COVID fast-track health financing announced in March and is an important part of the World Bank Group’s intention to make available 160 billion dollars in grants and financial support over a 15-month period to help developing countries respond to the health, social, and economic impacts of COVID-19.
Remarks at High-Level Event on Financing for Development in the Era of COVID-19 and Beyond

(World Bank, Washington, DC, 2020-05-28) Malpass, David

David Malpass, World Bank Group President, spoke at the United Nations high-level event on financing for development in the era of Coronavirus (COVID-19) and Beyond. He spoke about two institutions, the IMF and World Bank working closely together on financial and economic challenges, including and especially those affecting the world’s poor. He highlighted on the announcement of milestone by IMF and World Bank Group that emergency health operations approved and up and running in over hundred developing countries. He described the new support programs that, in following weeks, will help developing countries overcome the pandemic and reclaim focus on growth and sustainable development. He invited the participants of the UN event to join the efforts with additional financing. He strongly welcomed the prompt support of the G20 countries for a suspension of debt service by all official bilateral creditors, which included G20 endorsement for comparable treatment by commercial creditors. He said that the World Bank Group is supporting countries that are participating in the moratorium. He welcomed President Xi Jinping’s recent commitment to China’s full participation in the debt moratorium. He invited commercial creditors to agree on terms of reference to encourage their participation, especially given the focus of the initiative on debt relief for the IDA countries, the world’s poorest. He mentioned that the UN’s call for Multilateral Development Bank debt suspension would be harmful to the world’s poorest countries. He spoke about the recent mischaracterizations by parts of the UN regarding the World Bank Group’s involvement as an observer to Egypt, Ethiopia, and Sudan’s negotiations regarding the Grand Ethiopian Renaissance Dam. He concluded by saying that the World Bank Group now has available COVID-19 financing programs in over one hundred developing countries, and invited use of those pathways to expand the financing of the health emergency and expand the response so that we can meet the full brunt of the crisis in the world’s poorest countries.
Protecting People and Economies: Integrated Policy Responses to COVID-19

(World Bank, Washington, DC, 2020-05) World Bank

The COVID-19 pandemic has unleashed a global health emergency and an unprecedented economic crisis of historic magnitude. Governments facing this threat are in uncharted territory, but three policy priorities addressed in this note are clear. Disease containment is a first-order concern to combat the pandemic, and measures such as testing and tracing, coupled with isolating and treating the infected can bring first-order gains. The economic crisis requires a parallel and simultaneous effort to save jobs, protect income, and ensure access to services for vulnerable populations. As governments act to slow the pandemic and protect lives and livelihoods now, they will need to maintain macro stability, continue to build trust, and communicate clearly to avoid deeper downturns and social unrest. Looking forward, this crisis can be an opportunity to rethink policy to build back with stronger systems for people and economies.
Remarks from the G20 Finance Ministers Conference Call on COVID-19

(World Bank, Washington, DC, 2020-03-23) Malpass, David

David Malpass, World Bank Group President, issued his remarks from the G20 Finance Ministers conference call, on the COVID-19 pandemic. These are difficult times for all, especially for the poorest and most vulnerable. For the World Bank Group, the first goal is to provide prompt support during the crisis, based on a country’s needs. It is also vital to shorten the time to recovery and create confidence that the recovery can be strong. On March 17, the World Bank and IFC Boards approved a USD14 billion package to respond to COVID-19. Of that, IFC is making USD8 billion available in relatively fast-acting financial support for private companies. IBRD and IDA will be making USD6 billion available in the near term to support health care. The Bank is currently restructuring existing projects in 23 countries, many of these through the use of contingent emergency response components. The Bank is also preparing projects in 49 countries in a new fast-track facility, with decisions expected this week on as many as 16 country programs. The World Bank’s Board will meet shortly, and it is expected that this first round of countries will provide a framework to quickly scale up over the next few weeks. The Bank and the IMF are ready to work quickly with official bilateral creditors and with other international organizations as partners to finalize a process by the Spring Meetings of our organizations in April.